An acoustic phonemic recognition system for continuous speech is presented. The system utilizes both steady-state and transition segments of the speech signal to achieve recognition. The information contained in formant transitions is utilized by the system by using a synthesis-based recognition approach. It is shown that this improves the performance of the system considerably. Recognition of continuous speech is accomplished here in three stages: segmentation, steady-state recognition, and synthesis-based recognition. The system has been tried out on 40 test utterances, each 3-4 s in duration, spoken by a single male speaker and the following results are obtained: 5.4% missed segment error, 8.3% extra segment error, 52.3% correct recognition using only steady-state segments, and 62.0% correct recognition using both steady-state and transition segments.